OPEC is not expected to change its strategy for 2022

OPEC is likely to stick to its current policy of moderate monthly increases in oil production at a meeting next week, four sources said, as demand for the Omicron mutation eased and oil prices recovered. Reuters agency.

OPEC will decide on January 4 whether to increase production by 400,000 barrels per day for February, the last in the context of the permanent lifting of record cuts made last year.

“At the moment, I have not heard of any reversal moves,” a source said. A Russian oil source and two other OPEC sources also said no changes to the deal were expected next week.

At its last meeting on December 2, OPEC insisted on a plan to increase production by 400,000 barrels per day in January, despite fears that the release of US crude stockpiles and the Omicron mutation would lead to a drop in oil prices.

The reference oil price fell more than 10% on November 26 to $ 72 a barrel when reports of the new variant first appeared, but since then it has recovered to almost $ 80 and OPEC sources said that the December decision to proceed the supply increase was correct.

Russian Deputy Prime Minister Alexander Novak said on Wednesday that OPEC had resisted Washington’s calls for further production growth because it wanted to give the market clear guidance and not deviate from policy.

The United States has repeatedly pressed OPEC to accelerate output growth as U.S. gasoline prices soared and President Joe Biden’s popularity plummeted. Faced with the resistance, Washington said in November that it and other consumers would release stocks.

Novak also said Wednesday that the possible release of strategic stocks would have a limited short-term impact on the market.

OPEC ministers are also set to discuss who will become the group’s new secretary general to replace Mohamed Barkido, who is expected to step down in late July. Kuwait’s candidate for the post has widespread support, sources said.